Investing for Minimum Dividends/Interest

lawman3966

Recycles dryer sheets
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Jan 8, 2008
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I'm posting to get suggestions for investments that minimize income in the form of dividends and interest but which still generate a decent return. One common choice is Berkshire Hathaway, which pays neither dividends nor interest, but which has generated unrealized capital gains over the years.

I already own quite a bit of Berkshire, and would like to achieve some diversity, while still avoiding receiving dividends or interest.

The goal is to avoid incurring income that reduces eligibility for Medicaid or which reduces ACA subsidies.
 
You could buy chunks of gold/silver (but I wouldn't).

I suppose even etf's like VTI which pay 2% div and basically no capital gain are out ?

I have heard there are etf's that don't pay dividend or cap. gain, but no experience with them, seems similar to Bershire.

You could purchase real estate as that always generates a paper loss for the first 10 or more years.
 
The goal is to avoid incurring income that reduces eligibility for Medicaid or which reduces ACA subsidies.

My goal is to increase my lifestyle so that I can enjoy it. If I have to take income, so be it.

If you really want to lower your income, there are many creative ways to do it.
 
My goal is to increase my lifestyle so that I can enjoy it. If I have to take income, so be it.

If you really want to lower your income, there are many creative ways to do it.
Well, don't keep us in suspense :)
 
Well at least here's a benchmark for you: the S&P 500 index. Using Vanguard's S&P 500 index shows 2.1% dividends, or 0.3% owed in taxes (most people pay 15% on dividends). That means with $10,000 invested you'd be paying $30 tax. If that isn't good enough, at least it serves as a benchmark (as the S&P 500 often does).
 
Maybe buy a single family home as a rental, in your hometown, and hire professional management if you don't want the bother of doing it yourself.

In today's low interest rates/high rental payment environ, you should be able to make 7-10% if you pay cash, more if you mortgage it. Depreciation protects much of your profits from cash flow. And a SF home is usually easier to sell when you wish.

This is the best rental market I have seen in 35 years.
 
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